Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Climate Goals & Targets

Environmental Challenges

• Lack of a common standard to measure ESG metrics, leading to discrepancies among ESG raters.

Mitigation Strategies

• Investors should ensure their funds have a clear policy for measuring and reporting ESG attribution. PLFA expects a shared set of standards to emerge.

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

ESG Focus Areas

• Climate Change

Environmental Achievements

• Reduced Scope 1 emissions by 11% in 2022 compared to 2019 baseline (872.6 MTCO2e)
• Reduced Scope 2 emissions by 1% in 2022 compared to 2019 baseline (5982.1 MTCO2e)
• Implemented various energy efficiency measures in office buildings (smart thermostats, efficient roofs, LED lighting, etc.)
• Proactive recycling programs (electronic waste, bottles & cans, trash)

Social Achievements

• Not disclosed

Governance Achievements

• Established a strong governance system for climate-related issues with engagement from the Board of Directors and management.
• Climate-related governance is handled at a group level, with oversight from the Audit Committee, Investment and Finance Committee, and Governance and Nominating Committee.

Climate Goals & Targets

Environmental Challenges

• Potential for increased frequency and severity of weather-related events impacting operations and underwriting portfolio.
• Transition risks related to the shift to a low-carbon economy impacting investments.

Mitigation Strategies

• Business Continuity Plans (BCPs) in place to mitigate operational risks.
• Excess mortality stress testing to assess the impact of climate-related risks on the underwriting portfolio.
• Development of a roadmap through 2025 to enhance ESG investment strategy and manage transition risks.
• Sustainable Financing Framework to support investments in green and social projects.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Increased frequency and severity of weather-related events (hurricanes, tidal waves, sea level changes, wildfires, heatwaves, drought, tornadoes)

Transition Risks

• Shift to a low-carbon economy impacting investments

Opportunities

• Investments in renewable energy projects (solar, wind power, liquefied natural gas, battery technology)

Reporting Standards

Frameworks Used: GHG Protocol

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Climate Change
• Governance
• Responsible Investment

Environmental Achievements

• Reduced Scope 1 and Scope 2 GHG emissions by 60% from 2019 baseline. 2023 Scope 1 emissions were 782.8 MTCO2e (11% decrease from prior year), and 2022 Scope 2 emissions were 3045.7 MTCO2e (50% decrease from prior year).

Social Achievements

• Offers two proprietary ESG funds as underlying investment options for certain life insurance and annuity contracts.
• Sustainable Financing Framework aims to finance green and social projects.

Governance Achievements

• Established AVP Sustainability roles to build consistency and structure around the Corporate Social Responsibility (CSR) program.
• Board of Directors and upper-level management engaged in climate-related governance.
• Audit Committee, Investment and Finance Committee, and Governance and Nominating Committee consider climate-related risks.

Climate Goals & Targets

Environmental Challenges

• Potential for increased frequency and severity of weather-related events impacting operations and underwriting portfolio.
• Transition risks related to the low-carbon economy impacting investments.

Mitigation Strategies

• Business Continuity Plans (BCP) in place to mitigate operational risks.
• Excess mortality stress tests linked to climate-related risk are conducted.
• Geographic concentration analysis of the insurance portfolio is performed.
• Roadmap through 2025 to better measure and manage transition risks in investment portfolio.
• Sustainable Financing Framework to finance green and social projects.

Supply Chain Management

Climate-Related Risks & Opportunities

Physical Risks

• Increased frequency and severity of weather-related events
• Higher than anticipated mortality experience

Transition Risks

• Impacts of the low carbon transition on investments (carbon tax, labor costs, retrofit costs)

Opportunities

• Investments in renewable energy (solar, wind, LNG, battery technology)

Reporting Standards

Frameworks Used: GHG Protocol

Sustainable Products & Innovation

• Two proprietary ESG funds